Fifa has unveiled plans to create a new commercial entity, Fifa Forward Enterprise (FFE), to sell all its broadcast, sponsorship, ticketing, and licensing rights, potentially raising $20bn. The move has drawn sharp criticism from Uefa, which accuses the governing body of 'selling the soul of football'.
What is Fifa Forward Enterprise?
FFE would centralize Fifa's revenue-generating activities, with the governing body retaining 'sole control' but inviting minority, non-controlling investments from third parties. According to Fifa, investors 'would be selected against clear long-term, governance, and strategic criteria.' The proposed lead investor is Joshua Kushner, brother of Jared Kushner, Donald Trump's son-in-law.
Infantino's vision vs. critics
Fifa president Gianni Infantino defended the plan on Instagram, stating it is 'about the democratisation of football worldwide.' However, Uefa has released a second statement in a month warning that a 'Rubicon' is being crossed. Sources told the Guardian that investors would not take dividends, but could later sell their stake.
Financial promises to member associations
Fifa has promised that external investment would deliver an 'optional' $20m in extra funding to any nation that wants it, plus increased annual disbursements, totaling $10bn. A majority of Fifa's 211 members must express interest for the investment to proceed. Infantino earlier said that without Fifa, 'there would be no football in 150 countries in the world.'
Infantino's track record and future
Infantino previously announced a deal with Softbank for the Club World Cup in 2018, which was dropped after backlash. He is poised to win a fourth term as president next year, extending his stay until 2031. Reports suggest he could become CEO of FFE after leaving Fifa.
What happens next?
The Guardian reported that the FFE launch caught football stakeholders by surprise, including Fifa council members. Uefa has expressed discontent, but it remains unclear if any action will be taken to stop the plans. Fifa insists joint ventures are standard, citing Uefa's own partnership with European Football Clubs.
